Palestinian Prime Minister Salam Fayyad today said that Palestine Liberation Organization will declare the Palestinian state in the middle of 2011. <br/><br/>Fayyad told reporters during the inauguration of a main street near the West Bank city of Bethlehem, the government will continue building and rehabilitating the state's institutions and infrastructure to announce it in the middle of next year. <br/><br/>Fayyad also said his government supports resolving the issue of Palestinian refugees in accordance with UN Resolution 194 which grants the right to any refugee to return and live in peace with his Israeli neighbors. <br/><br/>Meanwhile, a leftist Palestinian faction urged Fayyad to work on ending the Palestinian National Authority's security commitments towards Israel to allow the independence. <br/><br/>Bassam Al-Salhi of the People Party said ending the security liaison and commitments with Israel is essential to build a state on the lands that Israel occupied in 1967.<br/>